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Google has a challenging task of indexing or collecting all the worlds Internet information, but more importantly scoring or ranking each website by it's relevancy, so that you and I as a consumer will find the more relevant information as quickly as possible. Google handles over 500 million variables and 2 billion terms.
Instead of indexing variables provided by each website owner, such as meta tags or number of words on the page, the founders Larry Page and Sergey Brin developed an algorithm that score pages by votes to your pages by other websites.
What's considered a vote? A vote for your website by another website is scored by google by links. Basically how many other websites are linking to you. Each link by a third party website to you is con cider a vote. In addition to that each voter or third party website has their own score and their vote to you is weighted. In addition to a voter's score, there is the factor of how relevant that voter is to you. An autobody shop is not as nearly relevant to a vacation rental website as another rental or realty property.
So a couple of the top critical factors for Google are:
1) Number of websites that link to you
2) The score of the websites that link to you
3) How relevant the website are that link to you
Another factor is one way versus reciprocal links.
Reciprocal links are links that you trade with other websites. You link to them and they link to you. This is very useful for other people coming to your website as well as the search engines having another way to find your website. In terms of helping your score it does a little, but not as much as a one way link.
One way links are just that, a link that goes to your website, but you don't link back to them. These are harder to get, because why would people link to you without anything in return. Therefore you must offer really valuable content for free.
One smaller factor about one way links is that some websites are informational portals or resources, where they offer a directory of free information. In this case you have a large amount of one way links outgoing, in order to become a valuable resource. Many websites even have a "resources" page to help their users find additional noncompetitive information.
Other factors such as Title Tag, Content, Links, Anchor Text still have some weight on your score, but the above factors sets Google apart from the other Search Engines.
Click here for the latest Google trend.
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